1,000 workers lose jobs as Panasonic moves factory from Thailand to Vietnam

[webfact]

1,000 workers lose jobs as Panasonic moves factory from Thailand to Vietnam

 

Picture: Sanook

 

Sanook reported that more than 1,000 employees bid a sad farewell to the Panasonic factory in the Wellgrow Industrial Estate in Bang Pakong, Chachoengsao.

 

The company is moving production to Vietnam. 

 

It was like the end of term for schoolchildren - many signed shirts with goodwill messages for the future and hugged each other.

 

This all played out on a factory Facebook page on Saturday. 

 

Source: Sanook

 

-- © Copyright Thai Visa News 2020-11-02

 

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[ExpatOilWorker]

Samsung packed up in 2015 and shortly after LG also left Thailand for greener grass in Vietnam.

 

A Samsung spokesperson has not said if the company will move television production from Thailand to Vietnam. South Korea’s LG Electronics Inc, which is second in the global TV market, will also soon move its TV production from Thailand to Vietnam, thanks to cheaper labour costs and closer proximity to Chinese-based suppliers.

 

https://tech.thaivisa.com/samsung-tv-thailand/10967

[shady86]

No worries, the gov will create more jobs soon for them.

[trainman34014]

Some Cretin from Government House will be on soon to say new companies are 'Flocking' to open up in Thailand and create millions of new jobs !

[ICELANDMAN]

If they move to Vietnam it is because the companies receive orders from the government of japan, Thailand has placed itself under china and must pay the consequences.

[Pottinger]

49 minutes ago, ICELANDMAN said:

If they move to Vietnam it is because the companies receive orders from the government of japan, Thailand has placed itself under china and must pay the consequences.

 

Can you substantiate your fantasy by citing some authoritative sources? Myself, I would say that the decisions of several Japanese companies to relocate to Vietnam has nothing to do with Japenese government directive, and everything to do with economics.

[BritManToo]

54 minutes ago, ICELANDMAN said:

If they move to Vietnam it is because the companies receive orders from the government of japan, Thailand has placed itself under china and must pay the consequences.

Doesn't sound likely, more to do with wages, staff availability and the bribes needed to keep the factory working.

Thailand has just priced itself out of the market, as far as I can see it's trying to price itself out of every market.

[colinneil]

Not to worry folks, one of the many deputy prime ministers will soon come out with a statement saying foreign companies are ready to move / invest in Thailand.

[bluesofa]

3 minutes ago, colinneil said:

Not to worry folks, one of the many deputy prime ministers will soon come out with a statement saying foreign companies are ready to move / invest in Thailand.

Nah, believe what the PM says instead, he always tell the truth:

 

In December 2017 he told us the Bangkok - Korat section of the high-speed railway to China would be up and running by 2021. Great - only a few months to wait.

 

In July 2015 he told us Thailand would have a new national emergency number - 911.He was going to oversee its implementation himself. Any day now, I'm sure.

[yellowboat]

Sorry to see this happen, but not surprised.   cha cha touts the EEC while companies leave.   

[phantomfiddler]

Looking on the bright side, Thailand will soon be able to declare itself as the "World Hub" for departing businesses ????

[laocowboy2]

Won't be the last. The difficulties involved in bringing technical staff in and then out again is prompting others to re-examine whether Thailand makes sens as a manufacturing hub. Some will keep slimmed down operations to supply the local market but I know others who are discussing an exit.

[Cake Monster]

4 minutes ago, laocowboy2 said:

Won't be the last. The difficulties involved in bringing technical staff in and then out again is prompting others to re-examine whether Thailand makes sens as a manufacturing hub. Some will keep slimmed down operations to supply the local market but I know others who are discussing an exit.

Companies that are departing Thailand are doing so for purely Commercial reasons.

Thailands workforce are not as skilled as some of the workers in Vietnam.

The strong Baht, Too many Holidays, poor production per man hour, and many , many issues with Red Tape, are just more of the hurdles placed in front of Business in Thailand.

Covid has just accelerated the process of restructuring and  relocating the Business Models for many Companies that do not wish to face problems from outsourced components which are locked in due to shutdowns Etc.

 

[RichardColeman]

I dare say like all governments worldwide, they will lose a 1000 jobs and tomorrow will be shouting about the new job creation of 200 jobs of a  new company , never mind the net 80% loss

[Hayduke]

24 minutes ago, Cake Monster said:

Companies that are departing Thailand are doing so for purely Commercial reasons.

Thailands workforce are not as skilled as some of the workers in Vietnam.

The strong Baht, Too many Holidays, poor production per man hour, and many , many issues with Red Tape, are just more of the hurdles placed in front of Business in Thailand.

Covid has just accelerated the process of restructuring and  relocating the Business Models for many Companies that do not wish to face problems from outsourced components which are locked in due to shutdowns Etc.

 

 

You forgot to mention that Thai workers need a minimum of six hours per day...to play with their phones.

 

 

[Cake Monster]

1 minute ago, Hayduke said:

 

You forgot to mention that Thai workers need a minimum of six hours per day...to play with their phones.

 

 

I thought that was covered under " Poor Production per Man Hour "

That, along with a host of other stuff

 

[Pottinger]

2 hours ago, Pottinger said:

 

Can you substantiate your fantasy by citing some authoritative sources? Myself, I would say that the decisions of several Japanese companies to relocate to Vietnam has nothing to do with Japanese government directive, and everything to do with economics.

 

[Ombra]

39 minutes ago, Cake Monster said:

Companies that are departing Thailand are doing so for purely Commercial reasons.

Thailands workforce are not as skilled as some of the workers in Vietnam.

The strong Baht, Too many Holidays, poor production per man hour, and many , many issues with Red Tape, are just more of the hurdles placed in front of Business in Thailand.

Covid has just accelerated the process of restructuring and  relocating the Business Models for many Companies that do not wish to face problems from outsourced components which are locked in due to shutdowns Etc.

 

Red tape? In the World Bank's 'Ease of doing business' rankings for 2020, Thailand was in 21st place and Vietnam in 70th.

 

[Techno Viking]

40 minutes ago, Cake Monster said:

Companies that are departing Thailand are doing so for purely Commercial reasons.

Thailands workforce are not as skilled as some of the workers in Vietnam.

The strong Baht, Too many Holidays, poor production per man hour, and many , many issues with Red Tape, are just more of the hurdles placed in front of Business in Thailand.

Covid has just accelerated the process of restructuring and  relocating the Business Models for many Companies that do not wish to face problems from outsourced components which are locked in due to shutdowns Etc.

 

 

Vietnam minimum annual leave is 12 per year + 10 public, Thailand is similar with 10 annual leave and ( I think )  13 public.

 

Both countries have 48 hr work weeks but the Viet min wage is VND 3,070,000 (Approx Bt. 4000) a month.

 

[Lacessit]

2 hours ago, Pottinger said:

 

Can you substantiate your fantasy by citing some authoritative sources? Myself, I would say that the decisions of several Japanese companies to relocate to Vietnam has nothing to do with Japenese government directive, and everything to do with economics.

It may also have something to do with the current political instability in Thailand, perhaps these companies have better information than you or me in that respect.

[AlfHuy]

Just had a call from Pingting in Beijing.

Soon, they will create 153 Billion jobs in Thailand. Slowly they are already bringing in their own managers because TH just opened their borders again (around 120 people per week).

[Destiny1990]

Thailand hub of the leaving companies ! ☹️☹️

[Burma Bill]

Not good news for companies planning to invest in Thailand's new EEC - rethink your strategies!!

[spidermike007]

This is happening alot. Many, many Japanese companies are shifting away from Thailand. Economics is one aspect of it. I would venture to guess the most foul and utterly incompetent administration is also a big part of it too. 

 

Prayuth get out. Get out now. The entire administration needs to be replaced. As soon as possible. 

[hotchilli]

5 hours ago, webfact said:

The company is moving production to Vietnam

If they believe that's a viable option for the future you can bet others are looking at the same thing, expect more to pullout.

[daiwill60]

There are also quite a fewThai companies setting up here in Vietnam now too.  So, it's obviously the economics that seems to be the major driving force, in my opinion.

[Caldera]

I'm not surprised. Vietnamese seem a lot more eager to study, learn and work than Thais - and for a substantially lower salary at current rates.

 

The Thai government, busy with silly factional warfare, has done nothing to keep Thailand competitive while other countries in the region have been busy catching up - and the painful reality of this is just starting to set in.

[trainman34014]

5 hours ago, bluesofa said:

Nah, believe what the PM says instead, he always tell the truth:

 

In December 2017 he told us the Bangkok - Korat section of the high-speed railway to China would be up and running by 2021. Great - only a few months to wait.

 

In July 2015 he told us Thailand would have a new national emergency number - 911.He was going to oversee its implementation himself. Any day now, I'm sure.

He told us there wouldn't be a Coup either and then later he said he didn't want to be PM.  Later he just kept up the lies until the present time !

 

5 hours ago, bluesofa said:

Nah, believe what the PM says instead, he always tell the truth:

 

In December 2017 he told us the Bangkok - Korat section of the high-speed railway to China would be up and running by 2021. Great - only a few months to wait.

 

In July 2015 he told us Thailand would have a new national emergency number - 911.He was going to oversee its implementation himself. Any day now, I'm sure.

 

[bodga]

3 hours ago, Cake Monster said:

Thailands workforce are not as skilled as some of the workers in Vietnam.

Nail right smack bang  on the head...........+ the "attitude"

[bodga]

7 minutes ago, Caldera said:

I'm not surprised. Vietnamese seem a lot more eager to study, learn and work than Thais

Second nail smack bang on the head.